Trade war has deep consequences

To the editor:

What started as a rightful attempt to protect American steel and aluminum from cheap imports has transformed into a potential global trade war with chilling economic impacts for Indiana and beyond. 

How widespread are the disputes with countries that are longtime trading partners? Washington is at odds with six of America’s top seven foreign markets. These countries account for more than half of all U.S. exports.

And, most unfortunately, the effects could well hit close to home. Broad tariffs can quickly turn into what amounts to tax increases on Hoosier consumers and businesses. Products used in our homes every day, and the materials consumed to build them, will simply cost more.

Retaliation on U.S. tariffs will lead to lost sales of Indiana products — and ultimately lost jobs. Exports from Indiana to Canada, Mexico, China and the European Union total more than 1 billion dollars with nearly 65 percent of that going to our neighbor to the north. Indiana jobs supported by trade total more than 800,000 or nearly one-third of the state’s workforce.

The Great Lakes economic region — comprised of Indiana, seven other states and two Canadian provinces — contributes $232 billion each year to U.S.-Canada trade. Decades of partnership are at risk.

Our federal government can, and should, appropriately use tariffs and other measures to protect American steel companies and their employees. It must not recklessly battle allies and put our country’s — and state’s — economic future in jeopardy.

It’s time to end this fight before too many suffer from unintended consequences.

Kevin Brinegar

President and CEO

Indiana Chamber of Commerce